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Find out moreThe first Law Update of 2024 is here, and our first focus of the year spotlights Healthcare and Lifesciences, a sector that is undergoing significant growth and development across the MENA region.
Our focus provides an insight into some of the most important regulatory updates across the region, such as the UAE’s groundbreaking law on the use of human genome, Kuwait’s resolution on nuclear and radioactive materials, the new regulations for healthcare services in Qatar, Egypt’s healthcare regulatory framework, and the impact of the Saudi Civil Transactions Law on the healthcare and life sciences sector … and there is so much more!
Beyond the healthcare pages our lawyers share with you multi-sector insights where you will discover articles on Dubai’s DIFC regulatory framework for startups, Bahrain’s commercial agencies law, and we also shed light on Kuwaiti civil code and the advantages of setting up a joint stock company in Saudi Arabia.
Read the full editionSarah El Serafy - Senior Associate - Banking and Finance
Maymoona Talib (Mandviwala) - Associate - Banking and Finance
Jody Waugh - Managing Partner - Banking and Finance / Turnaround, Restructuring and Insolvency
Following the introduction of the Stored Value Facilities Regulations in 2020, as a next step to the development of financial technology practices and enhancing the payments industry in the United Arab Emirates (UAE), the Central Bank has on 6 June 2021 issued the Retail Payment Services and Card Schemes Regulations (“Regulations”).
The Retail Payment Services are digital payment services and have been categorised into nine sub categories under the regulations, namely:
Card Schemes are also regulated under the regulations. Card Schemes have been defined as the set of rules, practices and standards that enable a holder of a payment instrument to affect the execution of card-based payment transactions within the UAE, which is separated from any infrastructure of payment system that supports its operation, and includes the card scheme governing body.
In summary, these regulations set out the:
We have highlighted below some of the noteworthy elements of the Regulations.
Retail Payment Services
Licensing
Ongoing Requirements
Payment Token Services
Obligations towards Retail Payment Service Users Card Schemes
Card Scheme
Access to Wages Protection System
The Central Bank may order the cessation of provision of the Retail Payment Services or the operations of the Card Scheme if the PSP or the Card Scheme concerned has not obtained the relevant license from the Central Bank before the end of the transition period i.e. one year from the date of this regulation. We understand that the transition period applies to existing schemes, which need to adjust their licencing position and not to new schemes which are intended for launch post the issuance of the Regulations.
This regulation shall not apply to the following:
With these Regulations, the Central Bank aims at providing safety, soundness and efficiency of Retail Payment Services, adoption of effective and risk-based licensing requirements for Payment Service Providers, promoting the reliability and efficiency of Card Schemes as well as public confidence in card-based payment transactions and promoting innovation and creating a level playing field for market participants.
For further information, please contact Sarah El Serafy.
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